Home Business Banks in Portugal Close Cryptocurrency Exchange Accounts – Coinpedia – Fintech & Cryptocurreny News Media

Banks in Portugal Close Cryptocurrency Exchange Accounts – Coinpedia – Fintech & Cryptocurreny News Media

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Banks in Portugal Close Cryptocurrency Exchange Accounts – Coinpedia – Fintech & Cryptocurreny News Media

In crypto-friendly Portugal, some of the biggest banks have closed accounts of cryptocurrency exchanges operating in the country.

Last week, the account of a Lisbon-based crypto trading platform, CriptoLoja, was closed by Banco Commercial Portugues, the largest listed bank in Portugal. The exchange’s CEO and founder, Pedro Borges, also said that Banco Santander had initiated a similar move.

Apart from this, two other small banks have also closed accounts with CriptoLoja without any official explanation. Two other crypto exchanges also encountered similar difficulties, such as CryptoLoja, with banks closing their accounts.

Regulators around the world are concerned about investor risk and money laundering issues, so they have stepped up their efforts. Banco Commercial said its duty is to inform the authorities whenever there is a “suspicious transaction”. Similarly, a Banco Santander executive said the lender was acting “in accordance with its perception of risk”.

Borges said whenever there is a suspicious transaction, they will notify the authorities.

Speaking to Bloomberg, he said: “We now have to rely on user accounts outside of Portugal to run the exchange. All compliance and reporting procedures have been followed.

Pedro Guimaraes, the founder of crypto firm ‘Mind the Coin’, said they were unable to open any new accounts after all his accounts were closed earlier this year. He also said, “Although there is no official explanation, some banks are just telling us that they don’t want to work with crypto companies. It is almost impossible to start a crypto business in Portugal right now.

This recent move by Portuguese banks has affected some of the major crypto exchanges in Portugal, which already have licenses from the central bank. Portugal has become a haven for crypto businesses, due to the absence of capital gains tax and traders have set up their base there. However, there could be a possible change and hardening of the crypto environment in Portugal.

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